California Class Masked Tax Suit as Loan Fight, Top Court Hears

A proposed class of senior citizens improperly framed their challenge to property tax assessments as a consumer suit to avoid having to exhaust administrative remedies, a group of lenders told the California Supreme Court.

The homeowners, led by Barbara Morgan, asked the high court to review a ruling rejecting their arguments that their dispute is between them and the companies administering their loans under the state’s Property Assessed Clean Energy Program.

Because the loan payments are billed and paid as special assessments on their property taxes, the homeowners are in fact challenging bills from their county assessors, the appeals court ...